Maximize your investment with these 3 top places to invest!
Looking to invest in property in the UK? There are many areas in the UK to consider buying a property but in this article, we provide insights on our top 3 places to invest in the UK. For more information on property investments in the UK, get in touch.
When it comes to investing for long-term growth there are various ways to invest your money, but not all of them yield great returns. Take saving accounts as an example. With interest rates worldwide at an all-time low, money sat in a savings account can actually be reducing in real-term value. This effect is caused by prices (inflation) increasing at a higher rate than the interest rate on the savings account.
Investing in UK property is considered safer than investing in stocks, less volatile and, if done properly, can yield great returns over 20 or more years compared to other investment alternatives.
When it comes to investing in UK property, there are 3 hotspots worth considering for your next investment. In no particular order, here they are 3 great places to considering investing in:
London continues to grow in size and popularity and is a great location to invest with its range of cosmopolitan apartments in the city centre, suburban houses and old-style victorian properties that are popular with overseas investors.
With at least 4 times more people living in London than any other city in the UK, London has the infrastructure, attractions and facilities that are renowned around the world, whether that’s the famous London Tube, the theatres, open parks or the appeal of attractions such as Buckingham Palace or the London Eye.
The city has lots of reasons that make it a great place to invest, as well as to live. Property prices are forecast to grow by 12.6% by the end of 2025* with prices rising as much as 7% in 2022.
London’s proximity to airports and the European continent also make it a popular location for businesses who need to recruit and attract staff to work in the area.
If you are wondering “Is London a good place to invest in property?” – the answer is yes, it definitely is! The city continues to thrive and offer opportunities in property investment for the future.
While London has had the spotlight for many years in the UK, cities such as Birmingham have become a focal point for property development as well as for inner city improvements by the UK government.
Located just over a 100 miles from London, the city of Birmingham has attracted a growing number of investors thanks to affordable properties, strong investment returns and high predicted growth.
According to research** Birmingham is leading the way in future property growth with property prices rising by between 4-6% annually over the next 5 years.
Birmingham is the UKs second largest city and as well as being close to London and Manchester, the city also has a number of attractive features including its proximity to London and Manchester and business-friendly facilities such as conference and exhibition centres.
The West Midlands area, which Birmingham is located in, also boasts having more miles of canals and waterways than Venice! These waterways make the area a great place to live with a number of property developments that overlook the various canals.
Birmingham also has some high-end property locations where houses are up-market but still affordable such as Solihull and nearby Stratford Upon Avon – as well as suburban towns such as Erdington and Kings Heath.
If you are looking to invest in UK property but without the high price tag that London has then Birmingham is a great city to consider with its future potential for high yields.
Here are some quick stats on Birmingham:
Population: 3.7 million (including surround areas)
Distance to London: 101 miles (163 kilometers)
Manchester has some amazing property investment opportunities. The city is growing and is regarded as one of the most in-demand – and undersupplied – property markets in the UK.
In recent years, focus has increased on developing Manchester as the ‘hub of the north’ in England and the city has benefitted largely by gaining a reputation as a digital tech area with younger generations moving to the area.
The government is also developing a high-speed rail link, called HS2, that will enable people to travel between London and Manchester in just over an hour!
With nearly 3 million people, Manchester is the UK’s third-biggest city that also offers quick access to other cities such as Liverpool, Sheffield and Leeds, which are all less than 50 miles away. The city also boasts close proximity to scenic areas such as North Wales, the Pennines and the beautiful lake district.
As well as being the home to big Premier League football clubs such as Manchester City and Manchester United, the city has many attractive buy-to-let hotspots such as Salford and Trafford that are attractive locations for anyone wanting to invest in the UK property market. The Blade is also a breathtaking design, offering the finest residential homes in the city.
The Salford Quays and Media City have undergone a lot of regeneration over recent years, based around the traditional and historical old docklands.
Home to the Lowry Theatre, Imperial War Museum and TV studios, the area continues to expand with new commercial and residential developments.
Investment returns in these areas are similar to the Manchester city center.
Lower property prices, high potential growth
Despite house prices being much lower than London’s, property prices in the Manchester area have continued to grow at much higher levels than in other parts of the UK, offering great investment returns. And, as prices continue to rise, the buy-to-let market is growing as more people choose to rent, rather than buy a property.
If you are interested in buying a property in Manchester, get in contact. We would be happy to discuss the opportunity further.
Here are some quick stats on Manchester:
Population: 2.8 million
Distance to London: 200 miles (322 kilometers)
Airport: The UK’s 3rd largest with 54 airlines flying nearly 30 million passengers a year
Mainstream house prices are forecast to grow by 4% in 2022 and 6.5% in 2023* making the UK property market a great investment choice during these uncertain times. Added to this, specific areas are forecast to grow at higher rates.
London, Manchester and Birmingham all offer great investment opportunities and the future looks promising. If you would like to know more about property investments in any of these cities, or any other area of the UK then get in touch.
**Research by JJL highlighted in the following article: https://www.buyassociation.co.uk/2020/11/09/birmingham-house-prices-rising-faster-than-anywhere-else-in-uk/
Stamp Duty Land Tax (SDLT) is something that a lot of overseas investors need to know about but most don’t. We’ve put together a simple guide outlining everything you need to know about Stamp Duty as a non-resident UK property investor.
A recent report has found that property investors seeking the highest rental yields are increasingly looking at newly built homes. Buying off-plan is often cheaper in the UK than buying an existing property because developers will usually offer a discounted sale price to attract investors to their projects.
Discover how to make the right UK property investment with this guide! Looking to invest in UK Property? If you are based outside of the UK, this guide has all the essential information you need to get started. If you have further questions then don’t hesitate to get in touch. When investing in UK property, you will get the best results if you follow our proven 3 step approach which we have outlined below.
The UK has become a popular location in recent years for property investment from around the world – including Hong Kong and the Middle East – and while the return on investment in some countries has become a lot more challenging, the UK continues to offer long-term growth and stability.